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Bright Horizons (MX:BFAM)
:BFAM
Mexico Market
EarningsQ2 2026 Earnings Report

Bright Horizons (BFAM) Q2 2026 Earnings Report

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MX:BFAM Q2 2026 EPS Results

Actual EPS$22.02
Consensus EPS$20.66
Beat/MissBeat by +$1.36
One Year Ago EPS$18.41

MX:BFAM Q2 2026 Revenue Results

Actual Revenue$13.41B
Expected Revenue$13.33B
Beat/MissBeat by +$74.72M
YoY Revenue Growth+6.51%

Earnings Announcement Details

QuarterQ2 2026
Date07/30/2026
TimeAfter Close
Conference CallThursday, July 30, 2026
MX:BFAM Upcoming Earnings
Bright Horizons's next earnings date is estimated for November 3, 2026, based on past reporting schedules.

Q2 2026 Earnings Call Audio

MX:BFAM Q2 2026 Earnings Call
0:00 / 0:00

Q2 2026 Earnings Slide Deck

No slide deck is available for this earnings event.

Q2 2026 Earnings Call Summary

Q2 2026
Earnings Call Date:Jul 30, 2026|
% Change Since:
|
Earnings Call Sentiment|Positive
The call highlighted multiple positive operational and financial developments: solid consolidated revenue growth (7%), a strong Back-up Care performance (19% revenue growth, margin expansion), raised EPS guidance, and continued cash generation and buybacks. Offsetting these positives are persistent challenges in Australia, headwinds from center closures and enrollment recovery in full service (keeping occupancy in the mid-60s), higher interest expense and tax rate impacts, and EdAssist engagement softness. Overall, the positive drivers—particularly durable Back-up Care growth, margin expansion, and improved guidance—outweigh the headwinds, though management continues to address geographic and portfolio weaknesses.
Company Guidance
Management narrowed FY2026 revenue to $3.085B–$3.115B and raised adjusted EPS to $5.05–$5.15; segment guidance calls for Back‑up Care revenue growth of 13%–15% (with an operating margin target ~28%–30%), Full Service revenue growth of 2.5%–3.0% (with ~200 bps headwind from net center closings and ~100 bps from Australia and overall full‑service margins expected to be roughly flat, Australia a 50–75 bp drag), and Educational Advisory growth in the low single digits (operating margin ~20%); company expects FY interest expense of $58M–$60M, an adjusted effective tax rate of 28.5%, ~51.5M diluted shares, and reported Q3 revenue of $835M–$845M (~4%–5% growth) with Q3 Back‑up +12%–14%, Q3 Full Service +0.5%–1.0% (including ~225 bps net closures and 100 bps Australia headwinds), EdAssist low‑single‑digit growth, and Q3 adjusted EPS of $1.73–$1.78.
Quarterly Revenue and EPS Beat
Revenue grew 7% year-over-year to $779 million in Q2 2026 and adjusted EPS increased 20% to $1.28, both ahead of management expectations.
Back-up Care Strong Growth and Margin Expansion
Back-up Care revenue rose 19% to $194 million; adjusted operating income for Back-up increased 23% to $50 million and operating margin expanded 80 basis points to 26%. Management expects full-year Back-up revenue growth of 13%-15% and sustainable operating margins in the ~28%-30% range.
Improved Consolidated Profitability
Adjusted operating income increased 15% to $99 million, with adjusted operating margin expanding 95 basis points to 12.7%. Adjusted EBITDA rose 13% to $131 million (17% margin).
Full Service Stabilization and Center Activity
Full service revenue grew 3% to $557 million driven by tuition increases and FX tailwinds; occupancy averaged high 60% for the quarter (about 70% excluding Australia). The company opened 7 centers and closed 7 lease-model centers, ending the quarter with 988 centers.
One Bright Horizons Cross-Sell Momentum
Cross-selling examples: an academic medical center transitioned from EdAssist and College Coach to three managed full-service centers; a financial services client added College Coach to an existing Back-up relationship, demonstrating progress on the One Bright Horizons strategy to deepen employer and employee engagement.
Updated Full-Year Guidance (Narrowed/Raised)
Management narrowed full-year revenue guidance to $3.085B–$3.115B and raised adjusted EPS guidance to $5.05–$5.15, reflecting confidence in underlying trends (Back-up and operating efficiency).
Strong Q3 and Back-up Near-Term Guidance
Q3 revenue guidance of $835M–$845M (growth ~4%–5%) with Back-up expected to grow 12%–14% in Q3; Q3 adjusted EPS guidance of $1.73–$1.78 per share.
Cash Generation and Capital Allocation
Generated $95 million of cash from operations in Q2, invested ~$19 million in fixed assets, and executed ~$250 million of share repurchases during the quarter; trailing net leverage was 2.2x net debt to adjusted EBITDA at quarter-end.

MX:BFAM Earnings History

Report Date
Fiscal Quarter
Forecast / EPS
Last Year's EPS
EPS YoY Change
Press Release
Nov 03, 2026
2026 (Q3)
30.19 / -
27.011
2026 (Q2)
20.66 / 22.02
18.40919.63% (+3.61)
2026 (Q1)
13.73 / 14.11
13.2476.49% (+0.86)
2025 (Q4)
19.30 / 19.78
16.8617.35% (+2.92)
2025 (Q3)
22.73 / 27.01
19.09741.44% (+7.91)
2025 (Q2)
17.39 / 18.41
15.1421.59% (+3.27)
2025 (Q1)
11.11 / 13.25
8.77450.98% (+4.47)
2024 (Q4)
15.60 / 16.86
14.2818.07% (+2.58)
2024 (Q3)
18.29 / 19.10
15.1426.14% (+3.96)
2024 (Q2)
12.56 / 15.14
11.01137.50% (+4.13)
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed